Creating peace of mind through honest and committed management.

[Provisional Translation Only]
This English translation of the original Japanese document is provided solely for information purposes.
Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

January 29, 2013
REIT Issuer
Ichigo Real Estate Investment Corporation (8975)
1-1-1, Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Yoshihiro Takatsuka, Executive Director
Asset Management Company
Ichigo Real Estate Investment Advisors Co., Ltd.
Representative: Wataru Orii, President & Representative Statutory Executive Officer
Inquiries: Minoru Ishihara, Executive Vice President & Statutory Executive Officer
Tel: 03-3502-4891

Notice of Completion of Comprehensive Refinancing
Ichigo Real Estate Investment Corporation (“Ichigo REIT”) has executed a comprehensive
refinancing (“Refinancing”) with respect to its existing loans, including a major loan with GE
Japan Corporation, per the following:
1. BackgroundAs part of Stage II of its Growth Strategy (Full-Scale Growth) through October 2013, Ichigo has
sought to reduce borrowing costs via a comprehensive refinancing, improve its loan terms, andstrengthen its lender base. This refinancing represents significant progress towards these goals,
significantly reducing Ichigo REIT’s borrowing costs and strengthening its lender base toaccelerate the growth of Ichigo REIT.
In addition to today`s refinancing Ichigo REIT’s sponsor, Ichigo Group Holdings Co., Ltd.
(“Ichigo Group”), is supporting Ichigo REIT via a sponsor loan of 1,100 million yen and theprovision of an additional commitment line to Ichigo REIT of 500 million yen.
Going forward, as part of its Stage III Growth Strategy (Solidify Market Position) throughOctober 2014, Ichigo REIT intends to obtain a credit rating and seek to further increase Ichigo
REIT’s dividend, asset base, and share liquidity via an accretive public offering.
2. Details of Borrowings
With a new SMBC Syndicate Loan of 14,000 million yen, a Shinsei Bank Syndicate Loan of
5,579 million yen, and an Ichigo Group sponsor loan of 1,100 million yen, Ichigo REIT ispartially repaying its GE Japan Corporation loan as well fully repaying its loans with Mizuho
Trust & Banking Co., Ltd. (Loan Backed by Trust Assets) and Prudential LPS for a total
repayment of 21,738 million yen. The terms of the loan with GE Japan Corporation with respect
to the remaining loan amount of 12,500 million yen will also be amended.

1

SMBC Syndicate Loan – Term Loan 3(2 year, 9 month maturity)

Lenders

Sumitomo Mitsui Banking Corporation; Mizuho
Bank, Ltd.; Mizuho Trust & Banking Co., Ltd.;
Resona Bank, Limited; Aozora Bank, Ltd.; TheTokyo Star Bank, Limited; ORIX BankCorporation
Loan Amount
7,000 million yen
Use of Proceeds
Repayment of existing loans
Loan Date
January 31, 2013
Principal Repayment Date
October 31, 2015
Principal Repayment Terms
17,500,000 yen of the principal will be repaid
on each Partial Principal Repayment Date, andthe remainder will be repaid in full on thePrincipal Repayment Date.
Partial Principal Repayment Date
Same as the Interest Payment Date
Interest Rate
3 M JPY TIBOR + 1.00 % (p.a.)Interest Payment Date
Final business day of January, April, July andOctober following the Loan Date (The firstpayment date will be the end of April 2013, andthe last payment date will be the same as thePrincipal Repayment Date)
Collateralized
Yes(Note) The interest rate from January 31, 2013 through April 29, 2013 is 1.29417%. Theinterest for the subsequent periods will be announced later.
SMBC Syndicate Loan – Term Loan 4Lenders

Loan Amount
Use of Proceeds
Loan Date
Principal Repayment Date
Principal Repayment Terms

Partial Principal Repayment Date
Interest Rate
Interest Payment Date

Collateralized
Shinsei Bank Syndicate LoanLenders(4 year, 9 month maturity)
Sumitomo Mitsui Banking Corporation; Mizuho
Trust & Banking Co., Ltd.; Resona Bank,Limited; The Tokyo Star Bank, Limited
7,000 million yen
Repayment of existing loans
January 31, 2013
October 31, 2017
17,500,000 yen of the principal will be repaid
on each Partial Principal Repayment Date, andthe remainder will be repaid in full on thePrincipal Repayment Date.
Same as the Interest Payment Date
1.64777% (fixed)
Final business day of January, April, July andOctober following the Loan Date (The firstpayment date will be the end of April 2013, andthe last payment date will be the same as thePrincipal Repayment Date)
Yes(4 year, 10 month maturity)
Shinsei Bank, Limited; MetLife Alico,Prudential Mortgage Asset Holdings 1 Japan
LPS; Shinsei Trust & Banking Co., Ltd. (fundedby Investment LPS managed by AXA Real
Estate Investment Managers Japan KK)
2Loan Amount
Use of Proceeds
Loan Date
Principal Repayment Date
Principal Repayment Terms

Partial Principal Repayment Date
Interest Rate
Interest Payment Date

Collateralized
Shinsei Trust Loan (funded by Ichigo Group)
LenderLoan Amount
Use of Proceeds
Loan Date
Principal Repayment Date
Principal Repayment Terms
Interest Rate
Interest Payment Date

Collateralized

5,579 million yen
Repayment of existing loans
January 31, 2013
November 30, 2017
25,000,000 yen of the principal will be repaid
on each Partial Principal Repayment Date, andthe remainder will be repaid in full on thePrincipal Repayment Date.
Same as the Interest Payment Date
1.74777% (fixed)
Final business day of February, May, Augustand November following the Loan Date (The
first payment date will be the end of February
2013, and the last payment date will be the sameas the Principal Repayment Date)Yes(2 year, 10 month maturity)
Shinsei Trust & Banking Co., Ltd. (funded byIchigo Group)
1,100 million yen
Repayment of existing loans
January 30, 2013
November 30, 2015
Bullet payment at Principal Repayment Date
2.85% (fixed)
Final business day of January, April, July andOctober following the Loan Date (The firstpayment date will be the end of April 2013, andthe last payment date will be the same as thePrincipal Repayment Date)
None

3. Details of Commitment Line
Commitment Line(1 year maturity)

LenderMaximum Amount
Use of Proceeds
Term of Contract
Principal Repayment Terms
Interest Rate
Interest Payment Date
Collateralized

Shinsei Trust & Banking Co., Ltd. (funded byIchigo Group)
500 million yen
Operational Expenses (as necessary)
From January 31, 2013 to January 31, 2014
Bullet payment at Principal Repayment Date
2.85% (fixed)
Same as the Principal Repayment Date
None

4. Details of Amended Loan Terms for Existing Loan
GE Japan Loan

(2 year, 10 month maturity)

LenderLoan AmountPrincipal Repayment Date

GE Japan Corporation
12,500 million yen (Before Change: 28,460
million yen)
November 30, 2015 (Before Change: May 30,3Principal Repayment Terms
Interest RateInterest Payment Date

Collateralized2014)
Bullet payment at Principal Repayment Date
3 M JPY LIBOR + 2.30 % (p.a.)25th day of March, June, September andDecember following the Loan Date, or the lastbusiness day immediately before the day if theday falls on business holiday (Before Change:
Final business day of March, June, Septemberand December following the Loan Date)
Yes

4. Details of Existing Loan Repayments
GE Japan LoanLender
Loan Amount Before Refinancing
Loan Amount After Refinancing
Loan Date
Refinancing Date
Interest Rate
Collateralized

GE Japan Corporation28,460 million yen (As of January 29, 2013)
12,500 million yen
November 30, 2010
January 31, 2013 (expected)
3 M JPY LIBOR + 2.30 % (p.a.)
Yes

Tokyo Star Bank Loan
LenderLoan Amount Before Refinancing
Loan Amount After Refinancing
Loan Date
Refinancing Date
Interest Rate
Collateralized

The Tokyo Star Bank, Limited
2,880 million yen (As of January 29, 2013)
None
November 30, 2010
January 31, 2013 (expected)
3 M JPY LIBOR + 2.50 % (p.a.)Yes

Mizuho Trust & Banking Co., Ltd. (Loan Backed by Trust Assets) / Prudential LPS LoanLender
Trustee
Loan Amount Before Refinancing
Loan Amount After Refinancing
Loan Date
Refinancing Date
Interest Rate
Collateralized

Prudential Mortgage Asset Holdings 1 JapanLPS
Mizuho Trust & Banking Co., Ltd.
2,898,056,000 yen (As of January 29, 2013)
None
November 30, 2010
January 31, 2013 (expected)
2.81% (fixed)
Yes

6. Future Outlook
Due to the refinancing, there were revisions to Ichigo REIT’s earnings and dividend forecast for
the Fiscal Period ending April 2013 (November 1, 2012 – April 30, 2013) as announced in“Financial Report for the Fiscal Period ending October 2012” which was released on December
17, 2012. For details of the revisions, please refer to today’s announcement, “Revision ofEarnings and Dividend Forecast for the Fiscal Period Ending April 2013.”
7. Other
Risks related to this refinancing have no material impact on the “Investment Risks” described in4

the latest Securities Report (submitted on January 28, 2013).

Reference 1: Loan Structure after Refinancing■ Outstanding Loan Balance (as of January 31, 2013)(million yen)

Balance
GE Japan Corporation
12,500Sumitomo Mitsui Banking Corporation
8,371
Aozora Bank, Ltd.
5,570
Resona Bank, Limited
4,951
Shinsei Bank, Limited
4,606
Mizuho Trust & Banking Co., Ltd.
3,871
Gibraltar Life Insurance Co., Ltd.
3,800
The Tokyo Star Bank, Limited
3,000
Prudential Mortgage Asset Holdings 1 Japan LPS
2,000
MetLife Alico
2,000
The Kagawa Bank, Ltd.
1,400
Shinsei Trust & Banking Co., Ltd. *1
1,379
Shinsei Trust & Banking Co., Ltd. *2
1,100
Mizuho Bank, Ltd.
1,000
ORIX Bank Corporation
998
Total
56,549*1: Source of fund is Investment LPS managed by AXA Real Estate Investment ManagersJapan KK*2: Cash funding is provided by Ichigo Group■ Distribution of Lenders[Before Refinancing (As of November 30, 2012)][After Refinancing (As of January 31, 2013)]
Shinsei Trust *22%

Kagawa Bank
2%
ORIX BankSMBC Mizuho 1%
5%
Trust
Bank
Tokyo Star Bank
5%
5%
Mizuho Trust(Loan backed by Trust Assets)Prudential LPS
5%Resona Bank
5%

KagawaBank2%
MetLifeAlico 4%
Prudential
LPS 4%ORIXBank
2%

GE JapanCorporation
22%

Tokyo Star Bank
5%

GE JapanCorporation49%

Gibraltar
7%

Gibraltar
7%

Shinsei Bank
8%

Mizuho Bank2%

Shinsei Trust *12%

SMBC15%Mizuho Trust7%Shinsei
Bank8%

AozoraBank8%

5Resona Aozora Bank10%Bank9%

■ Distribution of Repayment Dates(million yen)

[Before Refinancing (As of November 30, 2012)]
30,00028,46020,00010,49810,000
5,366
3,800

2,865
2,732

2,000

1,3300Apr 2013 Oct 2013 Apr 2014 Oct 2014 Apr 2015 Oct 2015 Apr 2016 Oct 2016 Apr 2017 Oct 2017 Apr 2018

(million yen)

[After Refinancing (As of January 31, 2013)]
30,00020,00014,93010,49810,000
6,825

6,685
5,366

5,104

3,800
2,0000Apr 2013 Oct 2013 Apr 2014 Oct 2014 Apr 2015 Oct 2015 Apr 2016 Oct 2016 Apr 2017 Oct 2017 Apr 20186Reference 2: Growth Strategy Road Map

2011/10

Stage IStage IIStage III

Lay Foundation for Growth

Full-Scale GrowthSolidify Market Position

2012/4

1st period post merger

2012/10

2nd period post merger

Goal

Seek Dividend of ¥1,200+Action Plan

■ Financial Strategy
・Strengthen lender base・Reduce borrowing costs■ Internal Growth Strategy
・Reduce operating costs
・Enhance prof itability of properties■ External Growth Strategy
・Disposition using negative goodwill
・Gather property inf ormation f or PO・Replace properties in timely f ashion
・Consider indirect property
acquisition, e.g., TK investment

2013/4

3rd period post merger

2013/10

4th period post merger

PO Targeting DividendGrowth■ Financial Strategy
・Strengthen lender base・Strengthen f inancial base via PO・Obtain credit rating■ Internal Growth Strategy
・ Enhance prof itability of individualproperties■ External Growth Strategy
・Acquire properties via PO・Gather property inf ormation f or asset
growth and strengthen asset
sourcing

Website of Ichigo REIT: www.ichigo-reit.co.jp/english

7

2014/45th period post merger

2014/10

6th period post merger

Further Growth of Dividendand Assets■ Financial Strategy
・Consider non-collateralizedborrowing・Consider bond issuance・Implement measures toward f urtherasset growth■ Internal Growth Strategy
・Continuously enhance prof itability ofproperties■ External Growth Strategy
・Further expansion of scale of assets

Growth